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As indicated, some of the cash flows are expressed in future (then-current) dollars and others in current-value (today's) dollars. Use a real interest rate of
As indicated, some of the cash flows are expressed in future (then-current) dollars and others in current-value (today's) dollars. Use a real interest rate of 10% per year and an inflation rate of 6% per year. Year 10 Cash Flow, $ 25,000 38,500 28,000 28,500 3 4 7 Expressed As Today's Then-current Then-current Today's NOTE: This is a multi-part question. Once an answer is submitted, you will be unable to return to this part. Find the present worth of the estimated cash flows. The present worth of the estimated cash flows is $
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